Megatrends

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Strategy Briefing

Baby Food Bucks Global Recession and Offers Positive Growth Prospects

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About This Report

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The global economic downturn and the uneven recovery since 2008 have impacted most FMCG industries’ growth negatively, but baby food proved to be reasonably recession proof. This report examines the key socio-demographic, economic and industry factors impacting market performance. It evaluates strategies aiming to capture growth opportunities driven by high birth rates in the Middle East and Africa and strong economic progress in Asia Pacific, particularly in the most attractive market, China.

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Baby food growth withstands global economic downturn

The strong growth performance has been supported by emerging
regions, where the global financial crisis has not had a severe impact on
economic growth and birth rates are still relatively high.

Socio-demographic-driven opportunities dominate in the
Middle East and Africa

By 2018 there will be more than 7.3 million more 0-36
month-olds living in the Middle East and Africa than there were in 2013, a
significant expansion of the consumer base for baby food. While over this
period in most other regions, including the Asia Pacific and Western Europe,
the population of this age group is expected to shrink.

Growth strongly fuelled by economic progress in Asia Pacific

The currently large baby population and unbroken economic
progress in many emerging Asian markets is fuelling strong and sustainable
growth especially in China and Indonesia.

Two thirds of global market value expansion to 2018 to be
generated by China

China’s outstanding market value growth is the combined
positive result of socio-demographic and economic factors, and baby food
categories are still far from saturation.

In Europe, the stagnation in consumer spending power,
combined with market maturity and declining birth rates, creates a difficult
market environment for growth in baby food up to 2018.

The global baby food market environment is expected to
remain high consolidated, competitive but still fast growing up to 2018

Given the significance of brand equity in baby food,
companies are deploying strategies to build strong brand portfolios aligned
with evolving trends and to identify expansion target markets with high birth
rates and a positive operating environment.

What this report includes

Top-level strategic analysis of how major consumer trends will influence global markets

Consumer insight

Impact across all relevant consumer markets

Unique graphics and case studies

Key market snapshots

Accompanying presentation to synthesise main findings

Why buy this report

Identify factors driving change now and in the future

Understand motivation

Forward-looking outlook

Briefings and presentation should provoke lively discussion at senior level